A Recent Study Reports That the Success Rate of Franchisees

question 15

Multiple Choice

A recent study reports that the success rate of franchisees increases when a franchise system ________.

• A)requires franchisees to have prior industry experience
• B)requires franchisees to actively manage their operations
• C)has built a strong brand name with training programs to improve knowledge and skills
• D)All of the above increase the rate of success.

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Definitions:

Human Resources

The department within an organization that manages all matters related to employees, including hiring, training, development, and compliance with labor laws.

Social Responsibility

The obligation of an entity, individual or corporate, to act for the benefit of society at large, balancing profit-making with activities that benefit the community.

Entrepreneurship

The activity of setting up a business, taking on financial risks in the hope of profit.

Capitalism

An economic system characterized by private ownership of the means of production and the creation of goods or services for profit.